Contribution
I wholeheartedly agree. I will come on in detail to explain why the financial implications are so grave. I hope we would heed the warnings from those who have been through this process before, to ensure that the same mistakes are not made again.
Dr Shabina Qayyum, leader of Labour’s city council, was quoted by the BBC as saying that claims that option D was being pursued for political purposes were “insulting”. Given that she and her Labour group were whipped by Labour to vote for it, I suggest that the lady doth protest too much. It will be interesting to see how Labour members vote this evening.
Option D rips Huntingdonshire in half, creating east and west Huntingdonshire. There is a significant risk in attempting to disaggregate Huntingdonshire district council. There is a lack of precedent and absence of lessons learned, not to mention the destruction of local identity in Huntingdonshire, already stronger than identities elsewhere in Cambridgeshire, particularly in separating Huntingdon and St Ives. Disaggregating Huntingdonshire district council would come with greater transition costs and affect service delivery.
It makes no sense to place Huntingdon and Godmanchester, separated only by a narrow stretch of the River Great Ouse, into completely different unitaries. Brampton and Buckden will be split apart; Kimbolton and Great Staughton will be in different unitaries. Those village pairings currently sit within shared county divisions, upon which the wards of the new unitaries in Cambridgeshire will be based. To split them in two means that those divisions will need to be redrawn. The local government boundary commission for England can redraw them only once the unitary exists, and even then those divisions are unlikely to be at the top of the list for redesigning.
The option D business case states:
“Option D is grounded in a deep commitment to the unique identities, diversity and aspirations of each of the proposed unitaries.”
That simply is not true. There is no consensus anywhere in Huntingdonshire to suggest that splitting it in two is the preferred option for residents in my constituency. If Labour was not whipping its councillors to vote for it, it would not have any support at all.
Several of Huntingdonshire’s Labour councillors have either announced that they will not be standing or may not be here after next May. I ask those Labour councillors why they would wish for their legacy as a councillor to be that they voted to rip up Huntingdonshire. Defy the whip! The Labour apparatchiks whipping option D will not be the ones who have to live with the consequences of being part of a failing authority that they voted for. With the best will in the world, they are not going to remove the whip from any Labour councillor in Huntingdonshire. Politically, they cannot afford to.
Fenland district councillors like option D because it gets them out of being lumped with Peterborough:
“Peterborough’s ability to expand is constrained by current boundaries. By aligning with north-west Huntingdonshire, the area opens up to the south and west, creating space for new communities, business investment and international companies”.
Tell me they are planning to use the north of Huntingdonshire as a dumping ground for their housing targets without telling me!
Be under no illusion, Mrs Harris: Peterborough is a basket case. It is estimated that 11% of Peterborough’s budget is needed simply to service its own debts, with 80% needed to fulfil its statutory adult and children’s social care obligations. How on earth does it plan to run all the other existing county and district functions on a 9% budget? Peterborough council’s debt gearing is 91%, against the national benchmark of just 50%. Under the Chartered Institute of Public Finance and Accountancy’s local authority financial resilience index analysis, Peterborough is rated as high-risk for its overall level of reserves, its unallocated reserves, its earmarked reserves, its interest payable or net revenue expenditure, its gross external debt, its fees and charges to service expenditure ratio, its council tax requirement or net revenue expenditure and its growth above baseline. Huntingdonshire is not deemed to be high-risk in a single one of those categories.
Looking at the debt analysis based on the modelled options, Greater Peterborough is the single worst option for debt financing cost as a percentage of funding; it sits at 11%, which is the only debt financing cost deemed to be high-risk, and we should bear it in mind that the other two unitaries in this option each come in at 4%.